207Bond to be given

#### 207 Bond to be given 207 Bond to be given > > (1) The developer of a strata scheme must give the Secretary a security (a building bond), in terms acceptable to the Secretary, for building work to which this Part applies before an application is made for an occupation certificate under the [Environmental Planning and Assessment Act 1979](/view/html/inforce/current/act-1979-203) for any part of a building for which the building work was done. > > > (2) The amount secured by a building bond is to be the prescribed percentage of the contract price for the building work. > > > (3) The purpose of the building bond is to secure funding for the payment (up to the amount secured by the bond) of the costs of rectifying defective building work identified in a final report under this Part. > > > (4) If the building work to which this Part applies comprises only part of the building work to which a contract price applies, the amount secured is to be the prescribed percentage of the part of the contract price applicable to the building work to which this Part applies. > > > (5) A developer must not fail to comply with this section. > > > > Maximum penalty—10,000 penalty units and, in the case of a continuing offence, a further 200 penalty units for each day the offence continues. > > **s 207:** Am 2018 No 49, Sch 1\[9\]–\[11\]; 2023 No 44, Sch 3.1\[1\] \[2\].